After a three-year hiatus, the Jeep Cherokee is making its return to the market in 2026, a move that aims to avoid past strategic missteps seen in the automotive industry, such as Ford's Model T replacement blunder. This all-new 2026 Jeep Cherokee arrives in the highly competitive compact crossover SUV segment, positioned to leverage a shifting societal and regulatory environment, and hoping for success for Stellantis' stakeholders.

The new design marks a significant departure from the previous 2023 Cherokee, with design leader Vince Galante drawing inspiration from the original XJ-generation Jeep Cherokee. This influence is evident in the new 'KM Cherokee's' boxy aesthetic, borrowing elements like the squared-off seven-slot grille, U-shaped daytime running lights, and XJ-ish trapezoidal wheel arches. The taillamps wrap around the corners with a new horizontal orientation, reminiscent of Jeep's jerrycan look. A boxy, upright D-pillar with a Germanic Hofmeister kink and a more upright greenhouse directly address a key complaint of the outgoing KL Cherokee: insufficient cargo room, which sees a 25 percent increase in the new model.

Moving from Fiat-Chrysler’s Compact-Wide platform to Stellantis' STLA Large platform, the 2026 Cherokee experiences substantial growth. Its overall length stretches by 6.1 inches, and axles are 6.5 inches farther apart, making it one of the largest compact SUVs or smallest midsize SUVs in its class, competing with models like the Honda CR-V, Ford Bronco Sport, Toyota RAV4, and Chevy Equinox. Width increases by 1.5 inches, while height slightly drops by 0.3 inch. Nearly every interior dimension has been improved, enhancing class competitiveness, and the upper trim levels showcase elevated material quality, with options like perforated seat inserts and an 'Arctic' interior color scheme.

At launch, the 2026 Jeep Cherokee will feature an all-new, hybrid-only powertrain. This system combines a 1.6-liter turbo four-cylinder engine with a two-motor planetary combiner hybrid system, storing power in a 1.1-kWh lithium-ion (NCM) battery positioned under the rear passenger compartment. This design leverages technology originally patented by Toyota and made royalty-free through 2030, a strategic opportunity seized by Stellantis. The engine alone produces 177 hp and 221 lb-ft of torque, with a net total output of 210 hp and 230 lb-ft. This powertrain offers a competitive 3,500-pound tow capacity, only 500 pounds shy of the previous 2.0L turbo’s rating.

A significant highlight of the new Cherokee is its improved fuel efficiency. While official EPA numbers are pending, estimates suggest city/highway/combined ratings of 42/33/37 mpg, a substantial improvement over the previous generation's 20–21/26–29/22–24 mpg. This efficiency translates to an estimated 507 miles of range from its 13.7-gallon tank, a considerable increase over the prior 348–379 miles. Jeep also projects average American commuters could spend less than $100 per month on gas with the new Cherokee.

All-wheel drive is standard on the Cherokee, utilizing an Active Drive 1 system that drives the rear axle on demand and disconnects when not needed to save fuel. This system offers Auto, Sand, Snow, and Mud programs, with torque split varying from 100/0 to 50/50. While there won't be a Trailhawk off-road version at launch, and locking differentials are absent, the mainstream model boasts competitive off-road clearances. It features an 8.0-inch minimum ground clearance, a 19.6-degree approach angle, an 18.8-degree breakover angle, and a best-in-class 29.4-degree departure angle. A more focused Trail Rated version is anticipated in the future.

The 2026 Jeep Cherokee will be offered in four trim levels: Base, Laredo, Limited, and Overland, with starting prices ranging from $36,995 to $45,995. The top two trims, Limited ($42,495) and Overland ($45,995), will be available late this year, with the more affordable Base ($36,995) and Laredo ($39,995) models following in early 2026. This pricing strategy places the Cherokee at a premium compared to many compact hybrid SUV competitors, such as the 2025 Toyota RAV4 Hybrid, Kia Sportage Hybrid, and even some trims of the 2026 Honda CR-V Hybrid. The hybrid-only powertrain means there are no cheaper gas-only entry points, contributing to its higher average cost within the segment. Jeep appears to be banking on pent-up demand following its three-year absence to justify this premium pricing, though market adjustments or incentives may be needed to align with competitors, especially given Jeep's current residual value compared to brands like Honda or Toyota.